HILO (HawaiiNewsNow) - The state is planning to conduct another study before deciding whether redevelopment can happen at the site of the former Uncle Billy’s Hilo Bay Hotel.
The Hawaii Tribune-Herald reports that the Department of Land and Natural Resources will ask the legislature for about $1 million in funding during the upcoming session to fund the environmental impact study regarding demolition and possible reconstruction.
After that, it would take another year or two to complete the study.
Tower Development, which holds the lease for the site, has proposed a new 125-room, four story hotel. Tower also operates the neighboring Grand Naniloa Hotel.
The state has had trouble figuring out how to handle the site of the old hotel. Earlier this year, they offered a long-term land lease for developers willing to handle demolition and corresponding costs.
The building was deemed unsafe in 2017 after a county inspection revealed a plethora of health and safety violations.
Uncle Billy’s Pagoda Hotel was a 145-room hotel that started in the 1960s.
The Hawaii Tribune-Herald contributed to this report.